BENGALURU, May 16 (Reuters) – Granules India ( GRAN.NS ) reported a 7.8% rise in fourth-quarter profit, driven by strong growth in its active pharmaceutical ingredient (API) business.
The company’s consolidated net profit rose to 1.20 billion rupees ($14.7 million) from 1.11 billion rupees in the quarter ended March 31.
Granules’ consolidated revenue from operations rose 16 percent to 11.96 billion rupees, but profit growth was fed by a 17 percent jump in total costs.
The company’s revenue from completed volumes, the largest segment, rose 16% year-over-year, but that was easily offset by revenue from its API segment, the second-largest, which rose 48%.
Granules reported a 38% jump in sales of paracetamol, both API and ready-to-use, sold exclusively in the EU.
However, the company’s largest market is the US, where it has a 31 percent share. The best-selling drug in the country includes the skeletal muscle relaxant methocarbamol, with sales up 60% in the quarter.
Last month, Glenmark Life Sciences Ltd ( GLEM.NS ) posted a 48% jump in quarterly profit on growth in its core API business.
Granules shares fell 1.6 percent after the results. ($1 = 81.7800 Indian Rupees)
Reporting by Kashish Tandon; Editing by Sonia Cheema
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